Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash $ 27,224 $ 32,140 $ 32,817 Accounts receivable, net 78,903 54,575 44,189 Merchandise inventory 100,198 75,061 47,536 Prepaid expenses 8,855 8,353 3,719 Plant assets, net 246,242 227,649 199,939 Total assets $ 461,422 $ 397,778 $ 328,200 Liabilities and Equity Accounts payable $ 117,192 $ 65,880 $ 43,322 Long-term notes payable secured by mortgages on plant assets 87,615 89,659 71,082 Common stock, $10 par value 163,500 163,500 163,500 Retained earnings 93,115 78,739 50,296 Total liabilities and equity $ 461,422 $ 397,778 $ 328,200 1. Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable?